Business Administration

Tag: EBITDA

  • EBITDA – Drawbacks

    EBITDA – Drawbacks

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    by

    David J Hoare MSA
    in

    There are several business financial attributes required for EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) to work well as a basis for the multiple of earnings method (the method used with the Market Comparable Valuation Approach); see Fair Market Value for a better understanding of the three primary business valuation approaches.

  • EBITDA – Buyer Beware (Case Study)

    EBITDA – Buyer Beware (Case Study)

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    by

    David J Hoare MSA
    in

    This article will illustrate the opposite effect using the same business information. A buyer of a business should be leery of financial information and look for improper accounting processes. The goal is to reduce the operational income and ultimately the value of the business. The goal is to get the business valuation to a realistic…

  • EBITDA

    EBITDA

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    by

    David J Hoare MSA
    in

    EBITDA is an acronym for Earnings Before Interest, Taxes, Depreciation and Amortization. The value is generally known as operational profit before capital expenditures and tax obligations.